Calcutta, May 25 :     Tulsipur Sugar, a subsidiary of the country?s largest joint stock sugar firm, Balarampur Chini Mills, will soon be merged with its parent. In a meeting held here today, the board of both the companies ratified the merger proposal which will be effective from April 1999, subject to necessary approvals. City-based Lodha Capital Markets has been appointed to value the swap ratio. Sources said the swap ratio is expected to be cleared in the next board meetings of both the companies, to be held within a month. The Sarogis, promoters of Balarampur Chini, acquired controlling stake in Tulsipur Sugar in April, 1998, and subsequently raised their holding to 71 per cent. The acquisition of majority control of Tulsipur Sugar was similar to the Sarogis? takeover of Bhavnan Sugar in the early ?90s. Both the companies were underperformers and acquired cheap. The promoters said Rs 50 crore will be invested to double the production capacity of Tulsipur Sugar from the existing 2500 tpd. The board of Balarampur Chini today declared a 55 per cent dividend in 1998-99. The company has posted a nominal growth in net profit during the year despite registering a lower turnover. In 1998-99, the company?s turnover dipped by 7.89 per cent to Rs 280.55 crore from Rs 304.85 crore in the previous year. However, an almost 10 per cent reduction in total expenditure, from Rs 217.70 crore to Rs 196.02 crore, has helped the company to earn a slightly better net profit. In 1998-99, net profit went up to Rs 43.04 crore from Rs 42.96 crore in 1997-98. Interest payment went down to Rs 24.77 crore from Rs 28.66 crore while depreciation jumped to Rs 13.72 crore from Rs 12.83 crore. Gross profit stood at Rs 59.76 crore compared to Rs 58.49 crore in the previous year. Balarampur Chini crushed 198.40 lakh quintals of cane compared to 184.51 lakh quintals, an increase of 9.54 per cent.